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Friday, July 13, 2007

Parliament votes against increase in alcohol excise duties

Published: Friday 13 July 2007

In a non-binding legislative resolution, MEPs voted against a Commission proposal to raise the EU's minimum rates of excise duty on beer and spirits, and asked for the proposal to be withdrawn.

Brief News:

On 10 July 2007, the Parliament adopted a legislative resolutionexternal rejecting a Commission proposalexternal to raise the EU-wide minimum rates of excise duty on alcohol other than wine. After a tight vote (303 in favour, 335 against and 44 abstentions) on the Economic Affairs Committee's reportexternal , which backs amendments calling for the minimum rates to rise by 4.5%, the MEPs decided to vote against the whole Commission proposal and request that it be withdrawn.

This was the second time that Parliament has voted on the issue. At the end of May, MEPs referred the dossier, after a series of close votes, back to the responsible committee (see EurActiv 23/05/2007).

The Parliament's rapporteur Astrid Lulling said that the Parliament did not only reject an overall rise of minimum taxes on alcohol but also now asks the Commission to prove, in a study, that the existing minimum taxes provide for more competition or at least better health protection. "Until now, the Commission has not proved in any case that its interferences in national tax autonomy have so far produced any positive effects," said Lulling.
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